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Ripple remarkably broke out mid-week, flying the bullish flag high above the crypto horizon. The news reverberated across the market that the blockchain company would launch a new On-Demand Liquidity (ODL) corridor between Japan and the Philippines. The primary goal is to tap into the nearly $2 billion per year remittance market between these two countries.
The news was a breath of fresh air for XRP as more investors streamed into the market, perhaps to take advantage of a potential rally. As buying pressure behind Ripple surged, the token shot above $0.7 and stretched the bullish leg, brushing shoulders with $0.75.
Ripple Price Corrects As Investors Take Profits
The recent drop to $0.52 could have harmed most investors. However, there was hope that they will resurface from underwater and gasp for air. Intriguingly, technical levels joined hands with the fundamentals, boosting XRP to $0.75.
However, the resistance at the week’s high cut short the uptrend, killing the hope for the international money transfer token trading above $0.8. At the time of writing, Ripple has retreated to $0.7 amid an uptick in overhead pressure. The correction is mainly accentuated by the desire for investors to take profits before rejoining the market.
XRP/USD four-hour chart
The Relative Strength Index (RSI) indicator has also retreated from the overbought area and sharply falls to the midline. This technical tool tracks the trend of an asset and measures its strength. A sharp drop toward the midline and the oversold is indicative of a firmer bearish grip.
More sell orders will also be triggered if Ripple makes a four-hour close under $0.7 and the ascending parallel trend line’s middle boundary. Support is expected at $0.65 and $0.62, respectively. If push comes to shove, the token might explore areas under $0.6 again.
Ripple price intraday levels
Spot rate: $0.69
Trend: Bearish
Volatility: Growing
Support: $0.65 and $0.62
Resistance: $0.75 and $0.8
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